New Study shows most ICOs die after 4 months

10 July 2018

Hugo Benedetti and Leonard Kostovetsky, a team of specialists at Boston College in Massachusetts, published their observations associated with the viability of ICO projects, saying that most of the ICOs remain live only for a period of four months.

According to the research, just 44.2% of the ICO projects remain afloat beyond the four month timespan, confirming their conclusions on the basis of the Twitter activity analysis. The findings, however, are subject to double interpretation, because Twitter activity may not be indicative of the project’s lifetime after the 120 day interval.

The researchers focused on the frequency, intensity and duration of Twitter posts made by the ICO campaigners, assuming that absence of tweets after four months means that the project is no longer live.

The report further states that the final confirmation comes from the fact of listing on the cryptocurrency exchanges: “Breaking it down by category, 83% of the 694 ICOs that don’t report capital and don’t list on an exchange are inactive after 120 days. For the 420 ICOs that raise some capital but don’t list, this figure falls to 52%, and for the 440 ICOs that list on an exchange, only 16% are inactive in the fifth month.”